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binarysolo | 1 month ago

Yeah, low 8s on Amazon. They already take ~50% of our revenue for all expenses, the SASCore person is a drop in the bucket for them.

We also do B&M and website sales which have way less hassle or much lower expenses, but get nowhere near the traffic of Amazon, so that's why we deal with 'em...

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TMWNN|1 month ago

>They already take 50%+ of our revenue for all expenses

As mentioned my revenue is far smaller, so I need larger margins. My total marketplace fees plus shipping spend in 2025 was 26% of revenue. My net margin was 28%, but the metric I focus on is margin on COGS; that was 60% in 2025 and 54% lifetime.

Hearing your account and that of another seller with close to seven figures revenue makes me think I should aim for smaller margins. Not as small as yours, but maybe 10% smaller.

>We also do B&M and website sales which have way less hassle or much lower expenses, but get nowhere near the traffic of Amazon, so that's why we deal with 'em...

My Walmart revenue equaled Amazon's in 2025.

I've thought about opening my own website. On the one hand my multichannel software already supports such, so it would be from that perspective just another marketplace. On the other hand, besides the additional cost and hassle, I keep coming back to how difficult it is to match the Amazons and Walmarts of the world in terms of customer reach.

binarysolo|1 month ago

My fees are high but my COGS are low -- they're typically <30%, but our typical unit pricing is <$30 so the FBA fees and base fees/unit sold hit hard.

We make ~30% before labor and net 10-20% after everything so it works OK. Most bigger sellers I know live in the 10-30% net range.

Our Walmart store is pretty sad, cross product lines we sell between 1-10% of our rev on Amazon :( ... but that's also because our products (home and kitchen) have lower cost competitors on Walmart itself. We're the mid-premium product, which is a much better position on Amazon and the right marketplace fit.